Tesla’s India entry on ice: Musk yet to firm up plans for India

livemint.com:

NEW DELHI : Is Tesla on its way to India, or not? Despite the Indian government's enthusiastic rollout of a new electric vehicle policy primarily aimed at attracting EV makers such as Tesla, the Elon Musk-led automaker has remained non-committal about its plans to enter the Indian market. In fact, Tesla has not conducted any significant studies or held detailed discussions with state governments in India yet, people familiar with the situation told Mint, signalling a lack of immediate intent to establish a manufacturing presence in the country.

Tesla’s lack of communication with its suppliers in India also signal that the carmaker does not have an immediate plan for India, although it has formalised some partnerships with a longer gestation period, such as with Tata Electronics. Mint also learns that Tesla has not moved towards contacting state governments or suppliers for setting up its all-important Supercharger infrastructure in India, which is crucial for the sale and adoption of Tesla's electric vehicles in the country.

"Moreover, Tesla's approach to its India entry is markedly cautious compared to other automakers like VinFast, who have rapidly moved into the Indian market even before the announcement of the new policy," said a senior industry executive familiar with the plans of both the companies. Vietnamese EV maker Vinfast has already begun construction of a battery and vehicle assembly plant in Tamil Nadu.

“Their strategy is different from Tesla, which first wants to take the import route and test the market. Like Tesla, Vinfast is also going through its share of global challenges but the difference in approach is evident," this executive said.

Tesla didn’t reply to Mint’s queries emailed on Tuesday. While